An Examination of the Effects of Customer Expectation, Perceived Quality, and Customer Satisfaction on Customer Loyalty: A Case Study on KFC Restaurant

Marzan Rahman, Imran Hossain, Farhana Mitu, Mohitul Ameen Ahmed Mustafi, Mamun Miah

This research has proposed a conceptual framework to investigate the effects of customer expectation, perceived quality, and customer satisfaction on customer loyalty. This study has been conducted on 210 customers, with a structured questionnaire, who have received those services from a different restaurant in Dhaka city of Bangladesh. For collecting data, convenient sampling technique has been used. For analyzing data multivariate analysis techniques like factor analysis and Structural Equation Modeling (SEM) has been used. Descriptive statistics have been used for explaining the demographic characteristics of the customers. This study reveals that customer expectation is a significantly negative relationship with customer loyalty in a direct way but, this factor (customer expectation) is a significantly positive relationship with customer loyalty via customer satisfaction. This study also reveals that perceived quality is not a significant relationship with customer satisfaction but, this factors (Perceived Quality) is a significantly positive relationship with customer loyalty in a direct way.  A clear understanding of the actual relationships among the studied factors might encourage the KFC restaurant to figure out an appropriate course of action to win customers expectation by providing better services in order to create a loyal customer base.